652. October 2022 World Food Price Index
After Russia announced its decision to suspend participation in the initiative on Ukrainian grain exports from the Black Sea, which was agreed to in July under UN mediation, the international community was alarmed and warned of a return of the food crisis. Subsequently, partly mediated by Turkey, the countries involved in the initiative agreed to continue their participation, and the UN reported that negotiations are underway to follow up on the initiative, which expires in November. The Black Sea Initiative, brokered by the UN and Turkey, has helped stabilize international grain prices and reduce inflation for exports from Ukraine and Russia. However, the above situation suggests that the grain situation is still fluid.
On November 4, the UN Food and Agriculture Organization (FAO) released the world Food Price Index. The October 2022 index averaged 135.9 points, and with the exception of grain prices, most indicators showed a decline at the monthly level, with little change overall from the previous month. Declines in the price indeces for vegetable oils, dairy, meat and sugar were offset by increases in the cereal price index. The food price index fell 23.8 points (14.9%) from its March peak, but remained 2.7 points (2.0%) above its level a year ago.
Cereal price index averaged 152.3 points in October, 4.4 points (3.0%) higher than in September and 15.2 points (11.1%) higher than in October of last year. International reference index prices for all major grains rose on an attached basis. International wheat prices rose 3.2% in October, reflecting uncertainty surrounding the Black Sea Grain Initiative. International maize prices also rose 4.3% due to a combination of lower production prospect in the US and EU, dry planting conditions in Argentina, and continued uncertainty regarding Ukrainian exports. International rice prices rose only 1.0%, reflecting weak demand and large supplies in Asia are on the way.
Vegetable oil price index fell 1.6% to 150.1 points, 20% lower than early 2021 level. This reflects the decline in international prices of palm oil, soybean oil, and rapeseed oil prices which more than offset higher sunflower oil prices due to geopolitical uncertainty over Ukrainian exports.
FAO also issued 2022 edition of "The State of Food and Agriculture (SOFA): Leveraging Automation in Agriculture for Transforming Agrifood Systems" on November 2. We are pleased to share the following information from the FAO Liaison Office in Japan.
The State of Food and Agriculture 2022
- Leveraging Automation in Agriculture for Transforming Agrifood Systems
Press Release (English)
Press Release (Japanese translation)
SOFA 2022 E-Pub
SOFA 2022 PDF
SOFA 2022 in Brief PDF
Contributor: IIYAMA Miyuki (Information Program)